Corporate Insolvency and Governance Bill receives royal assent
Friday, 26 June 2020 14:16
The Corporate Insolvency and Governance Bill received royal assent
on 25 June and is now an Act. The measures in this Act will relieve
the burden on businesses during the coronavirus (COVID-19) outbreak
and allow them to focus all their efforts on continuing to operate.
What happens next Some of the measures in the Act will come
into effect immediately. Other measures will come into...Request free trial
The Corporate Insolvency and Governance Bill received royal
assent on 25 June and is now an Act.
The measures in this Act will relieve the burden on
businesses during the coronavirus (COVID-19) outbreak and
allow them to focus all their efforts on continuing to
operate.
What happens next
Some of the measures in the Act will come into effect
immediately. Other measures will come into effect once the
secondary legislation comes into force.
The Act:
- introduces temporary easements for Annual General
Meetings (AGMs) and filing requirements for public limited
companies (PLCs)
- introduces new corporate restructuring tools to the
insolvency regime to give companies the time they need to
maximise their chance of survival
- temporarily suspends parts of insolvency law to support
directors during this difficult time
Under the secondary legislation, companies will receive an
automatic extension for:
- confirmation statements
- registrations of charges (mortgage)
- event-driven filings, such as a change to your
company’s directors or people with significant control
Most companies will also be given more time to file their
accounts.
What you need to do
We’ve published guidance on the
changes that come into effect today. This includes
changes for PLCs with an accounts filing deadline between
26 March 2020 and 29 September 2020.
We’ll publish more guidance for private companies and other
company types once the secondary legislation comes into
force.
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